Hi,
Some How this Burn Buzz word stuck in my mind and i didn't see practical results so far in any successful token.
For example, Shiba Inu is burning tokens aggressively and is it really helping them?
May be i am noob here and happy to hear from experts!
I believe this topic will be useful for someone too!
Burn mechanisms used to be a key driver for upside token drive but the story has changed in recent times. Maybe in 2017-2020 but not anymore. The way the mechanism works is that some tokens are taken out of circulation. When this happens, it is usually perceived as a positive event since decreasing supply is believed to mean that price go up:
Supply goes down, price go up. (similar to bitcoin halving event where mining rewards get slashed in half).
However, most of these projects don't have a fixed total supply. There's usually an inflation that doesn't get offset by the burn events.